Magnolia makes move for more LNG exports

Magnolia LNG has taken another major step in making its plant a reality in Southwest Louisiana.

Company officials this week applied for a permit with the U.S. Department of Energy to export an additional 4 million tons
of LNG each year to free-trade and non-free-trade-agreement countries.

In February, DOE officials granted Magnolia a permit to export up to 4 million tons of LNG each year to FTA countries such
as South Korea, Australia and Singapore.

In a statement to the American Press, Magnolia LNG President Maurice Brand said discussions with potential new tolling parties have prompted an increase in the
company’s LNG exports to more than 8 million tons a year.

“These applications do not affect the timing to financial close of the Magnolia LNG phase one development of 4 mpta, which
is on schedule for the first half of 2015,” his statement read. “Should these additional approvals be authorized, it will
provide Magnolia LNG with increased flexibility to supply LNG to a greater number of countries.”

Magnolia LNG’s plant will consist of
four 2 million-ton-per-annum trains or process units and two
160,000-cubic-meter LNG
tanks. The plant will be located near the intersection of Henry
Pugh Boulevard and Big Lake Road on 110 acres of land owned
by the Port of Lake Charles. Magnolia will lease the land from the
port.

Magnolia officials entered the permitting process with the Federal Energy Regulatory Commission in March. If approved, the
project’s estimated two-year construction period is expected to begin in mid-2015.